Investing money can be quite a challenging task—it takes a lot of mental and emotional strength to commit to a company, call your losses, and recover well. Besides knowing the basics of how the financial world works, you also need to study the ups and downs of a certain company and market before putting your money towards its shares.
One way to lessen your investment risk is to buy the best penny stocks, which are stocks sold for under $1.
Now, trading penny stocks may be cheaper and financially, a great way for anyone to participate in the market, but you still need to be attentive. Penny stocks usually belong to companies with higher volatility on the market.
This list intends to provide you with some of the 10 best stocks under $1 on the market. We’ll showcase stocks, mostly in the technology sector, with a very high 1-year return. You’ll learn a little about the companies, why their stocks are promising, and how likely these stocks are to grow or decline.
Get your notebooks out, and let’s dive in!
1. Aeterna Zentaris Inc. (NASDAQ: AEZS)
Stock Price: $0.6355 (September 28th); +75.00% (1-year return)
Founded in 1990 in Charleston, South Carolina, this biopharmaceutical company’s main goal is to develop and put a wide range of diagnostic and pharmaceutical products in the market. Its primary focus is on fields of medical need not yet met by existing companies. The company is mainly dedicated to advancing therapeutic assets for disorders and sclerosis and is even venturing out into the development of an oral vaccine for COVID-19.
Aeterna Zentaris’s lead product, called macimorelin, is the head and only oral test approved by the European Commission and U.S. FDA. This oral test reveals the diagnosis of adult growth hormone deficiency (AGHD). As a result of the product’s success, the company is trying to develop it for diagnosis in children as well.
Why is this stock promising?
Aeterna Zentaris is a solid research and development company, with a high-level leadership team. In addition, they are the only company with an oral diagnostic for AGHD ever approved. They also have other medical products in the preclinical phase, with the potential to highlight their enterprise within the medical market once they’ve been tested and approved.
According to the Yahoo! Finance website, the share’s price is presently around $0.63. On September 28th, its price was $0.6355, closing with a high of +0.51% compared to the previous day. It’s a quite promising stock to invest in when considering its 1-year return. Its last 52-Week Change reached +75.00%, a great valorization for people who are looking for a good return in a short-term period.
Stock Outlook
The company’s performance can be a breaking point for the stock’s valorization or depreciation. Until they bring other products to the table and can increase the price of their shares, it’s important to keep an eye on them. Maybe don’t place all your eggs in this proverbial basket.
Since March 2021, the company has suffered a loss of more than 40% on its stock value. Its market capitalization or market cap (market value of the company’s outstanding shares, calculated by shares outstanding multiplied by the price of the shares—wow, that was a mouthful) was on September 28th 79.02M and the enterprise value 6.95M.
2. Alkido Pharma Inc. (NASDAQ: AIKI)
Stock Price: $0.8960 (September 28th); +31.15% (1-year return)
Alkido Pharma Inc. was created in Virginia in 1967 as a biotechnology development company, focusing on anti-cancer therapeutics. They have patented multiple technologies from researchers and universities and establish partnerships around the globe with institutions to develop innovative drugs.
The company’s portfolio includes therapies for pancreatic cancer, prostate, and leukemia (AML and ALL). Some of the treatments, such as pancreatic and prostate, have demonstrated good preclinical results.
Why is this stock promising?
Alkido Pharma Inc. is a reliable biotechnology development company, with more than 50 years in the market, which adds to the stock value when negotiating it. As the company focuses on topics extremely relevant to our society, the stocks have the potential to keep valuing along the time.
On September 28th, it opened at $0.8195 and closed at $0.8960, an +11.35% raise. Its 52-Week Change reached +31.15, a very good number for everyone who is looking for penny stocks to invest in.
Stock Outlook
Alkido Pharma Inc. stocks do not suffer severe oscillation in the market. With its prices fluctuating between $0.70 and $1.00, it is a safe spot to place your money. According to Yahoo! Finance, the Market Cap (intraday) is $80.35M, and the Enterprise Value -29.73M.
Nonetheless, you should watch what the medical field and stock market interact. As a biotechnology company, it’s a good field to own stocks in.
3. Avinger, Inc. (NASDAQ: AVGR)
Stock Price: $0.79 (September 28th); +150% (1-year return)
Founded in Redwood City, California, in 2007, Avinger, Inc. is a commercial-stage medical device company, focused on the treatment of Peripheral Artery Disease (PAD), a vascular disease. It projects and develops a catheter-based system to treat PAD, that affects approximately 200 million people worldwide, over 12 million in the United States. The company possesses several devices and accessories in its portfolio.
Why is this stock promising?
Avinger, Inc. is an innovative company. They produce products with radiation-free technology (for instance, image-guided catheters), a great advantage to doctors who are may be exposed to radiation for long periods, causing different damages, such as brain tumors and skin cancers.
In addition, they have numerous successful case studies and patient stories described on their website, which adds credibility to the company and therefore value to their stocks.
On September 28th, the stock value was $0.7920. Avinger, Inc. had a great valorization during the last year, where the 52-Week Change reached +150.00%. Its extremely positive market valuing can be a great appeal for investors looking for a promising penny stock.
Stock Outlook
The company counts with a high market cap of 75.52M and an enterprise value of 66.55M. Also, according to Yahoo! Finance, for 2021 the Growth Estimates are +50% and the Sales Growth is 33.50% and 33.90% for 2022. Hence, the future of Avinger, Inc. shows promising growth.
4. BIOLASE, Inc. (NASDAQ: BIOL)
Stock Price: $0.62 (September 29th); +132.14% (1-year return)
Located in Foothill Ranch, California, BIOLASE is a technology company within the dental field. BIOLASE produces dental lasers in use at operations worldwide, providing benefits for patients and dental professionals through the laser industry, such as kinder procedures, fewer aerosols, and better healing.
The company produces lasers for all kinds of procedures, such as surgery, tooth whitening, smile design, and pain therapy. It covers all the dental market that wants to insert lasers in their routine and has several technological products in their portfolio.
Why is this stock promising?
As reported by Dental Economics, since 2008 the number of dental hygienists utilizing lasers in their daily routine doubled, which is promising information for this company and therefore who wants to invest in its stocks.
On September 29th, the stock opened at $0.6438 and closed at $0.6257 (-4.39%). Its price usually varies between $0.58 and $0.70. A valuable point to consider when buying this penny stock is its valorization during the year. Its 52-Week Change reached +132.14%, which is one great reason to invest in it.
Stock Outlook
As mentioned before, the number of dental professionals investing in the company’s products doubled in the past decade. As lasers are an innovative technology that brings several benefits, the number of buyers will probably keep rising, so the chance for growth is high.
When examining the company’s numbers, the perspective is bright. BIOLASE’s market cap is at 94.6M, and its enterprise value is 79.74M. In addition, its growth estimate for the current quarter is +85.70%, and for the next one +71.40%.
5. Inuvo, Inc. (NASDAQ: INUV)
Stock Price: $0.69 (September 29th); +81.08% (1-year return)
Founded in 1987 in Little Rock, Arkansas, Inuvo, Inc. is an intelligent advertising technology company. This data-driven company provides patented technology (11 in total, with $20 million invested over 12 years) and real-time visibility, privacy safe, and unique insights to their consumers and audience.
The company’s AI technology called IntentKey is its most famous patented product, a machine-learning technology projected to create a precise picture of the consumer’s sentiment and intent regarding a specific object or topic. Inuvo, Inc. also displays several successful case studies on their website.
Why is this stock promising?
The company’s main focus is on Artificial Intelligence (AI), a hotspot in this new era. It can be shown in their stocks rise over the year, which hit +81.08% in its 52-Week Change. This rise is a good reason to start or keep investing in the AI field, which will probably keep valuing itself over the next years.
On September 29th, the stock opened at $0.6980 and closed at $0.6936, a +2.86%. From July until today, the price of the stock has varied between $0.69 and $1.07.
Stock Outlook
This stock outlook has a bright potential. For this year, the growth estimated is +25.00%, while for the next year +83.30%. The company revenue estimate for this year is 57.47M, while for the next year 74.52M. Inuvo, Inc.’s present market cap is 82.36M, and its enterprise value 62.87M. All these numbers indicate that the company’s stock will probably continue to grow.
6. RiceBran Technologies (NASDAQ: RIBT)
Stock Price: $0.58 (September 29th); +38.10% (1-year return)
Eat your bran, kids! Launched in 2000 in The Woodlands, Texas, RiceBran Technologies is a specialty ingredient company. It connects innovation and health to produce natural products from different kinds of grains, such as rice and oats.
The company focuses on supplying innovative ingredient solutions to different types of food. They have conventional, organic, and grain products, which they apply to nutraceuticals, human and animal nutrition. They also hold multiple certifications and are located in several states.
Why is this stock promising?
The company’s products have many benefits and applications. It’s also cost-effective, minimally processed, and gluten-free. Among personal health benefits, they are environmentally friendly, which is a big plus in a world more focused on sustainable solutions.
RiceBran Technologies opened at $0.58 and closed at $0.58 on September 29th. Since the beginning of the month, the stock oscillated between $0.58 and $0.80. The enterprise 52-Week Change was +38.10%, promising for this field and its potential investors.
Stock Outlook
The stock outlook displays great growth potential. Firstly, according to Yahoo! Finance, its Growth Estimates for this quarter are +57.10% and for the next one +40%. Secondly, the Growth Estimates for the current year are +69%, and for the next one +22.20%. In third place, the Revenue Estimate for this year is 31.53M, and for the next year 34.28M. Also, the company’s market cap is 26.82M, and the enterprise value is 29.36M.
7. Sundial Growers Inc. (NASDAQ: SNDL)
Stock Price: $0.67 (September 29th); 184.65% (1-year return)
Created in 2006 in Calgary, Canada, Sundial Growers Inc. grows and delivers high-quality products derived from cannabis for adults. Working only at high-level facilities and with world-class people, the company counts on several partnerships with other companies and universities, for instance, the University of Calgary.
Their website has a section only focused on Investors, where they show Corporate Presentations, Financial Results, Investor Events, FAQs, and other information.
Why is this stock promising?
The cannabis field is expanding more and more, and its medical use rising every year. So, this is a company to keep an eye on and worth buying a few penny stocks, not only due to the fast expansion of the field but also due to the fast valorization of Sundial Growers Inc. stocks.
Sundial Growers Inc. had a +184.65% rise in its stock’s value over the year, the highest of the list so far. Since the beginning of September, the stock oscillated between $0.67 and $0.77. On September 29th it opened at $0.6923 and closed at $0.6761 (-1.49%).
Stock Outlook
Sundial Growers Inc. has growth potential. Yahoo! Finance displays a Growth Estimates of +100% for the current quarter and +100% for the next one. In addition, it shows a Growth Estimates of +91.10% for 2021 and +100% for 2022. Also, its Revenue Estimate is 44.56M for the current year and 74.26M for 2022. The company’s market cap is 1.39B, and its enterprise value 429.11M. These numbers are quite considerable.
8. United States Antimony Corporation (NASDAQ: UAMY)
Stock Price: $0.979 (September 29th); +196.55% (1-year return)
Founded in Thompson Falls, Montana, in 1968, the United States Antimony Corporation is a natural resource company, its main raw material being antimony. Antimony is a soft metalloid used in cosmetics and medicine. UAMY is the only antimony smelter in the U.S.. Its operations comprise three mills and a smelter in Mexico, and a precious metal refinery and smelter in Montana.
Why is this stock promising?
United States Antimony Corporation is the only antimony smelter in the country. They also own a mine of Zeolite in Idaho which has one of the greatest zeolite stores in the world. In addition, the company’s stocks raised +196.55% in one year.
The oscillation of the stocks daily has also been positive. Today, it opened at $0.86 and closed at $0.9799, rising +14.54%. During September the share price fluctuated between $0.81 and $0.98.
Stock Outlook
Considering the company’s advantages on the market and last year’s results, it has a good potential for growth. Its revenue (trailing twelve months) is 5.44M and its balance sheet (total cash, this quarter) is 22.41M. The United States Antimony Corporation has a market cap of 103.87M and an enterprise value of 71.97M.
9. U.S. Well Services, Inc. (NASDAQ: USWS)
Stock Price: $0.94 (September 29th); +207.41% (1-year return)
Launched in Houston, Texas in 2012, U.S. Well, Services, Inc. decreases hydraulic fracturing emissions through sheltering environmental stewardship in the field of oil and gas. They supply hydraulic fracturing assistance in atypical natural gas and oil basins.
The company’s most famous product is Clean Fleet, a patented technology that reduces 99% of emissions, diminishes sound pollution, and produces up to 90% in operational fuel cost savings. Clean Fleet is the first of its kind in the industry.
Why is this stock promising?
The U.S. Well Services is dedicated to reducing oil and gas emissions and has the first patented technology that reduces up to 99% of the emissions on this field. With the environmental concern having more importance and relevance daily, we can see just how promising these cheap stocks look.
Moreover, they have the highest valorization of the list so far in the 52-Week Change, reaching +207.41%. On September 29th, each stock was valued at $0.94 (+12.67%, regarding the opening at $0.88).
Stock Outlook
Its low priced stocks have the potential for growth. The Growth Estimates are +66.70% for the current year and +96.40% for the next one. Their Revenue Estimate for 2021 is 254.9M, and for 2022 302.1M. The U.S. Well Services has a market cap of 171.88M and an enterprise value of 459.93M. In addition, its Quarterly Revenue Growth (year over year) is at +97.80%.
10. Zomedica Corp (NASDAQ: ZOM)
Stock Price: $0.50 (September 29th); +357.27% (1-year return)
Founded in 2013 in Ann Arbor, Michigan, Zomedica is a veterinary health company that supplies animal diagnostic products and services. Intending to better immunoassay performance to allow veterinarians to diagnose diseases and start treatments as soon as possible, they develop diagnostic testing platforms for the animal field.
Zomedica’s main product, TRUFORMA, is an innovative and non-optical test device with a compact design, that helps to deliver reliable results of complex animal patients’ conditions.
Why is this stock promising?
This stock is promising as it is has shown the highest increase over one year of all the companies on this list, +357.27%. It’s a good investment due to the projection over their sales growth as well: for the current year, the average estimate is 4.43M, while for the year of 2022 is 15.21, a +243.30% sales growth.
On September 29th, Zomedica stock opened at $0.5151 and closed at $0.5075. During September so far, the stock’s value oscillated between $0.49 and $0.63.
Stock Outlook
As mentioned before, its projections over sales growth are quite promising. In addition, this was the penny stock with the highest 1-year return on this top 10 list. They also have a high market cap, 497.21M, and an elevated enterprise value, 251.58M.
Other Penny Stocks to B: Honourable Mentions
In addition to this top 10 list, there are a few other companies worth keeping one eye on and maybe buying some share in as well. Some examples are:
- Oragenics Inc. (NASDAQ: OGEN)
- Eros STX Global (NASDAQ: ESGC)
- Borqs Technologies (NASDAQ: BRQS)
- Tonix Pharmaceuticals Holding Corp. (NASDAQ: TNXP)
- Color Star Technology Co., Ltd. (NASDAQ: CSCW)
- Nxt-ID, Inc. (NASDAQ: NXTD)
Playing the Stock Market for Under $1
As mentioned in the introduction, the penny stocks field has a higher volatility potential on the financial market. Therefore, it’s essential to pay close attention to what is happening to each company you decide to invest in at all times, even if the company’s numbers look pretty bright.
It’s one of those complicated trade-offs. It’s less risky for your investment portfolio because the stocks are cheaper, but they increase risk because you cannot guarantee whether they’ll remain stable or not.
Keep in mind that the more you know about basic finances, trading stocks, and investments, the better off you’ll be purchasing company shares. Don’t know where to turn? Don’t worry! You don’t have to purchase the latest edition of Dobb’s Security Analysis to understand the basics. There is plenty of online material for free that teaches how to invest your money wisely, and free online courses as well.
Another good tip is to use Yahoo! Finance, which gives you a detailed description of a company’s numbers with statistics, historical data, and an enterprise profile. All the numbers and data in this article were taken from Yahoo! Finance. Other relevant information was taken directly from each company website.
But, when you’re unsure where to go for the best suggestions, turn to us! We filter out all the noise to give you the smartest choices in today’s market.
